Increasingly, it seems, running an automotive dealership is about making tough decisions. On top of the challenge of standing out from the competition and offering potential customers an extraordinary experience in a tighter and tighter market, today’s business owners are determining how they’ll adapt to self-driving vehicles and other emerging technology. But these considerations can’t eclipse the daily questions of who to hire, who to promote, and who to let go. And then there’s the need to protect one’s employees from bias and harassment—as well as to protect oneself from potential legal action.
Oh, did I mention the plethora of state and federal rules, and the constantly changing nature of regulatory agencies?
No wonder today’s dealers are in search of practical workforce compliance guidance. Fortunately, that’s exactly what the team here at Compli spends our days developing—and the past 6 months have been especially busy for us. Now that 2018 is already more than halfway over, take a look at some of our top dealership compliance articles of the year so far:
Military Lending Act: How it Affects Your Dealership
On December 14, 2017, the Department of Defense dropped a bombshell on the auto finance industry by issuing a new interpretation of the Military Lending Act. The new interpretation imposes a range of restrictions and requirements on creditors who provide credit-related products and services—such as cash-out financings and financing for Guaranteed Auto Protection, credit life, and credit disability—to active-duty members of the US armed forces and those members’ dependents.The kicker? The rule extends to transactions dating back to October 3rd, 2016.
We asked Eric Johnson of Hudson Cook to explain what these changes mean for dealers, and what’s on the horizon next. Read his thoughts here.
Wrongful Termination: Protect Yourself BEFORE There’s An Issue
Just as there are a handful of colleges with 100% acceptance rates, odds are there’s some visionary company out there that’s pulled off 100% employee retention. But for the vast majority of employers, every choice to hire someone increases the likelihood that someone, at some point, will have to be let go. And let’s be honest: not everyone is suited for the position they’re employed in, and there are people who don’t have their employer’s or co-workers’ best interests at heart.
Rather than figuring out how to fire an employee a week, day, or hour before calling that person into your office, it’s a good idea to develop a methodology for handling terminations. Doing so will not only make life easier for people on all sides of the equation, but provide your organization with some protection in the event that a former employee files a wrongful termination claim.
Check out our recommended practices for dealing with employee terminations in a systematic approach—starting with steps to take before there’s an issue.
Not Just Sexual Harassment: 5 Other Types on Your Radar
If you’ve been following the news or paying attention to your social media feeds, you’re familiar with how the conversation around harassment, bias, and discrimination has changed over the past few months. But sexual harassment, the kind the #TimesUp and #MeToo campaigns seek to address, is only one type of harassment. Workplace harassment based on race, disability, age, religion, national origin, gender identity, or sexual orientation can occur just as frequently, and in the eyes of the law, it’s just as serious. Don’t forget: harassment is a form of discrimination under Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, and the Americans with Disabilities Act of 1990.
According to the EEOC, “of the total number of charges received in FY2015 that alleged harassment from employees working for private employers or for state and local government employers, approximately:
- 45% alleged harassment on the basis of sex,
- 34% alleged harassment on the basis of race,
- 19% alleged harassment on the basis of disability,
- 15% alleged harassment on the basis of age,
- 13% alleged harassment on the basis of national origin, and 5% alleged harassment on the basis of religion.”
For more articles, and all things dealership compliance, make sure to stay up to date with the Compli blog!